External borrowing policy: A commercial perspective

By Manoj Kumar, Hammurabi & Solomon
0
2029
LinkedIn
Facebook
Twitter
Whatsapp
Telegram
Copy link

A new external commercial borrowing (ECB) policy was notified by the Reserve Bank of India (RBI) recently, bringing in sweeping changes to the ECB framework. Some key features of the new ECB policy are:

Manoj-Kumar-Lawyer-Law-Business-India
Manoj Kumar
Partner
Hammurabi & Solomon

The medium term foreign currency-denominated ECBs and the long-term foreign currency-denominated ECBs (track I and II in the earlier framework) have both been rolled into a consolidated foreign currency-denominated ECB track. The rupee-denominated bonds and the earlier masala bonds and rupee-denominated ECB (track III in the earlier ECB framework) have been merged into rupee-denominated ECB track.

The new policy allows automatic approval of ECBs of up to US$750 million by all eligible borrowers each financial year, replacing the existing sector-wise limits. Even startups are now permitted to raise up to US$3 million under the new policy.

You must be a subscribersubscribersubscribersubscriber to read this content, please subscribesubscribesubscribesubscribe today.

For group subscribers, please click here to access.
Interested in group subscription? Please contact us.

你需要登录去解锁本文内容。欢迎注册账号。如果想阅读月刊所有文章,欢迎成为我们的订阅会员成为我们的订阅会员

已有集团订阅,可点击此处继续浏览。
如对集团订阅感兴趣,请联络我们

Manoj Kumar is the founder and managing partner at Hammurabi & Solomon

Hammurabi & Solomon correspondents logo 240px

Hammurabi & Solomon
405A & 405B, 4th Floor
Rectangle One, Gate No. 3
Plot No. D-4, Saket District Centre
New Delhi – 110017, India

Delhi | Gurugram | Mumbai | Bengaluru | Patna | Ranchi

Contact details
Tel +91 11 4155 1825
Email: mailadm@hammurabisolomon.com
Website: www.hammurabisolomon.com

LinkedIn
Facebook
Twitter
Whatsapp
Telegram
Copy link